As wireless industry start 2019, we will now see a new batch of competitive 5G solutions offered by the likes of Intel, Mediatek, Samsung LSI and HiSilicon poise to challenge the leading position of Qualcomm.

Recent research from IHS Markit indicates that data center interconnections are the fastest growing segment for coherent transceivers. Currently, metro and long-haul DWDM equipment is used to connect data centers around the world, but metro and long-haul DWDM solutions are overkill to interconnect data centers in campus and urban metro areas. Metro-access DCI are point-to-point connections with fiber reach between 40 and 120 km, making it possible to use unamplified links at least to 100 km, well beyond the capabilities of direct detect datacom transceivers. Coherent telecom transceivers can be used, but they have higher performance than required, are more complex, and are generally offered at a higher price point. They also use proprietary SD-FEC modes that are not interoperable. In response to this, the Optical Interconnect Forum (OIF) has developed the 400G ZR MSA to define specifications for 400GbE transceivers optimized for 80–100 km unamplified links using a grey channel in the center of C band. There is also strong interest from telecom and cable service providers for a DWDM version of the 400G ZR, so the OIF developed a colored version of the 400G ZR specification.

Nokia is making a return to the North American wireless carriers with announcements in the US and Canada. The Nokia brand, under new ownership of HMD Global, has been gaining momentum in the global smartphone market over the last year – shipping about 4.2m units globally in Q4 2018. For 2018, Nokia shipped about 15.1m units, according to IHS Markit preliminary smartphone data, up 63% year-over-year.

Already known for the innovative capabilities that propelled its cloud and SDN/NFV ascension over the past decade, Netcracker, a wholly owned subsidiary of NEC Corporation, never rests on its laurels and keeps pushing the envelope. This time around, though, the bar was lifted very high. Netcracker has developed and launched a new cloud-based service that essentially includes everything the company has in its OSS/BSS product and services offering. Named Business Cloud, the platform leverages Netcracker’s cloud-based SDN/NFV and IT portfolio—from VNFs to orchestration, OSS, BSS, portals, and a digital marketplace—and offers the complete set as a service to whoever needs to build a cloud infrastructure to turn up new digital services. Clients, please log in to view the full content.

On 18 December 2018, Cisco announced plans to acquire Luxtera Incorporated, a privately-held semiconductor company focused on silicon photonics (SiP) based solutions, for $660M in cash and equity. The acquisition is expected to close in the second quarter of CY19. Luxtera develops and manufactures silicon photonics–based optical transceivers primarily for interconnecting servers, routers, and switches in hyperscale and enterprise data centers. Clients, please log in to view the full content.

For retailers, Black Friday is an opportunity to tie smartphone purchases into wider spending at the store. Walmart and Target offer gift cards, of varying denomination, with the purchase of select smartphones. These deals are usually based on the condition of activating the smartphone on a qualifying partner carrier plan.
*** This deck will be updated as more offers are announced.***

On 9 November 2018, II-VI Incorporated announced plans to acquire Finisar in a cash and stock deal with an equity value of $3.2 billion; the acquisition is expected to close in the middle of 2019. The combined company will generate approximately $2.5 billion in annual revenue. The markets for photonic products are diverse and increasingly competitive, and product R&D and fabrication facilities for compound semiconductors are very expensive. Consolidation to achieve scale is a viable strategy to maintain the level of investment required to develop differentiated products serving fast-growing, diverse markets. With the Finisar acquisition, II-VI nearly doubles in size in terms of revenue, R&D investment, and employees. Clients, please log in to view the full content.

Every decade or so, a new technology or device format is unveiled that immediately disrupts the market. Apple was the instigator in 2007, and the iPhone upended the mobile phone industry. More than a decade later, the smartphone market is now showing signs of stagnation. The latest designs from various companies are starting to look more alike, which is making brand differentiation difficult.

According to preliminary IHS Markit smartphone data, global smartphone shipments recorded a negative year-over-year growth rate for two consecutive quarters in 2018. Shipments totaled 354.8 million units in the third quarter of 2018, declining by 3.3 percent from the previous year.

At its “Made by Google” event, Google announced its latest Pixel smartphones. Just like in previous years, there are two models. As with other devices in the Pixel line of devices, Pixel 3 and Pixel 3 XL are premium devices with corresponding price points. However, for the first time, Google is the manufacturer on record (according to FCC filings) as opposed to their historical use of HTC and LG as ODMs.

After launching the P20-series earlier in the year, Huawei is looking towards the latest edition of its Mate series to continue the company’s momentum to retain a spot in the global Top 3 smartphone OEMs.
Huawei presented a host of devices for the premium smartphone segment as well as a gaming focused handset which is becoming more popular in their domestic Chinese market. Huawei also renewed its partnership with Porsche Design. Additionally, the company launched two new wearables, the Watch GT and Band 3 Pro.

Broadband services are the revenue growth engine for cable operators worldwide. In a highly competitive environment where subscriber retention and growth is absolutely critical, cable operators must continue to invest in their access infrastructure to increase speeds and improve the efficiency of their services. Moving forward, DOCSIS 3.1 and Full Duplex DOCSIS 3.1 (FDX) provide an evolution path to deliver 1G and higher services to the home by leveraging existing coax access infrastructure. The introduction of virtualization in the cable headend, fiber deep initiatives, and distributed access architectures (DAA) are all tools for cable operators to improve the capabilities and economics of delivering these new broadband services.